Armouti calls for national conference to address deepening debt crisis

Saleh Al-Armouti
(File photo: Jordan News)
AMMAN — MP Saleh Al-Armouti warned Saturday of increasing public debt, which, according to recent figures, now stands at 110 percent of the GDP (by last May), according to Jo24. اضافة اعلان

Armouti wondered why the public debt has been rising steadily, despite the inflow of grants, foreign aid and loans that the government keeps talking about, asking: “Why has public debt reached $40 billion, despite the fact that taxes collected by the government from citizens make up 70 percent of the state’s general budget?” he asked.

Armouti said that the government does not reveal the value of interest rates on loans that Jordan takes from international bodies. He alleged that the government does not use grants that come for specific projects, giving as example the building of two schools from a JD6 million grant from the Kuwait Fund.

The Islamist deputy called on the government to make its loan-repayment plan public, and expressed concern about the possibility of having to resort to further borrowing just to service the mounting public debt.

“We need an economic team to tackle the steady increase in public debt so that these debts do not influence the sovereign decisions and policies of the state,” Armouti added.

He called for holding a national conference in which the public and private sectors participate, so that the government may come up with solutions to pay off its debt to the private sector, since the government alleges that it has no financial allocations, even though the law does not allow the execution of tenders unless funds have been allocated for them.

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